#TwoforTuesday – Cheaters never win! Fannie Mae’s newest update stops them. Funny but this is the truth. Why are we in 2018 and we still are dealing with “Cheaters” in the mortgage industry. There are some great companies out there and it’s appalling to hear these stories where companies are doing things to cheat and use lender credits for a down payment. Are you kidding me, you played some loop hole for years just cause? It’s the same for builders that are giving excessive incentives to a borrower to capture both the Real Estate side and Mortgage side of the equation. Then taking it away or not offering it if another lender is used. I am not so sure about the whole KW thing going down right now. I don’t have an opinion yet, but if they are blatantly “cheating” to incentivize, this is the ethical stuff we need to ban from our industry.
Fannie Mae issues two new changes at the beginning of the month due to those that needed clarity. Seems the first change is well, I understood it this way for years. Maybe I just didn’t look to cheat and use it that way. Crazy some people do this, and Fannie has to update verbiage and completely spell it out. Second change makes sense and is a helpful one to help those doing construction loans to define the transaction type. Check it out below ↓
What I feel like doing this summer is creating a list of builders (or other companies) that “cheat” and publicly posting it for those to see. This can’t go on, if you “cheat” and know it because you’re on the “other side” of some aspect of Real Estate, Title or otherwise and incentivize clients to use your company in a manner that’s abusive. You should be reported. Cheaters never win! Well some say maybe in the short term, but in the long haul there will be a cause and affect that might not be in your favor. Please please please execute good judgement and fair lending practices when in mortgages. It’s what makes it “right” for the client. “Do the Right thing” has always been apart of my mantra and it seems more and more companies are actually looking to play loop holes in our industry to gain a competitive edge. At least for a short lived time. If you know of a company doing something like this, let me know, I’ll show you the way to report them.
STOP CHEATING! – Fannie Mae shouldn’t have to put out guidelines to clarify a guideline that was set many years ago. (A lender credit was never intended to be used for a down payment or for compensating third parties) Nor should companies be incentivizing clients to use their services or steer them to use and not offer the same incentive if a borrower chooses another (Shop-able) option. Watch mark my word, down the road there will be legislation in our industry that if some incentive is offered to use a shop-able service for a mortgage (that is also owned by same mortgage company) there will be a limit or restriction of the incentive. Or something to the affect that another option is used, a percentage of that incentive would need to be applied. Something will happen in this area. Be fair to your clients, your brand and your way of doing business. Nothing good comes out of cutting corners. PERIOD>.
#TwoforTuesday – Broker disclosed or Lender disclosed are two common options when submitting a loan. Today I break down the “skinny package” to help make it easier to understand.
In processing a loan, submitting should be one of the easier steps inside a lender portal. Don’t over complicate it, keep it simple. I suggest you upload a PDF with submission form and required “disclosure” docs based on how you are submitting and then a second PDF with all supporting docs. Based on what your findings show on DU/LP. Don’t make the mistake of sending in extra stuff at submission of a loan. Just keep it basic on what DU asks for upfront. **That means you have to read the findings and only upload what’s asked for!
I’m growing this week with new relationships in areas that do FHA and Non-QM loans. If that’s you, #LetsDoBusiness ↓
#TwoforTuesday – Join Us In Creating Yes’s all week, as I go over the #JUICYLIST of supported mortgage tools to help you grow your business. Today we go over two newer additions to the list, that are fantastic. One for the front end of your business to help you gain leads for your best referral partners – Real Estate Agents. And another at the back end of your business that helps you stay in front of your past clients.
Timing is everything and these two tools are a critical pair that can help you strike while the iron is hot! See the links on the banners on the side of the blog for more info. I will also have posts in the group, Sales Talk with Mortgage Pro’s today highlighting these companies.
Yesterday I offered and today I will do the same. #Strategy is the name of the game this year for those online generating traffic. Here’s the link for the FREE STRATEGY CALL with me —-> Strategy Call Sign Up!
Let’s do business together! If you’re a mortgage Broker and want a great AE, with a fantastic support team, that can help you source new loans and close them – Sign up! Let’s chat! Fill in below. I do strategy calls all the time with my existing clients.
#TwoforTuesday – A great idea to know these as more “departing primary” scenario’s are coming up. People are #Downsizing and #MovingUp this year and we will probably see more of this in the summer. Gift guidelines are also gone over as a reminder when you have multiple units. Then the URLA info is a BONUS, link will be below the video today if you want to #Checkitout!
If you want to see the new URLA as Fannie Mae’s team has announced it’s completion just last week. It doesn’t come out officially until July 2019 and not required to be used until 2020 sometime I believe. Check out the look and feel of it HERE!
#TwoforTuesday – How are you using social media? As a search engine yet? As a way to search for new referral partners? Two things, groups and pages! If you don’t have a page yourself and you sell RE or Mortgages, make one. Then grow it. Second, join groups all the time, don’t just add a bunch at once FB will block you for that. There are groups for just about everything, I suggest you join groups that support your past times, hobbies and likes. That way it’s easier for you to develop a presence that you can leverage later.
Do not “advertise” in groups unless you add value to the group first, just thoughts. As owner of over 10 groups, most around 3000 people, I segment the content and group focus for the types of people I want to “gather in there”. It’s a way for me to build an audience and add value to everyone. You should do the same, and join groups that are not yours and develop a presence in them to be seen as an authority. It’s easy to do if you are adding value to the group based on the groups focus. As far as pages go, you should be advertising on your page and then sharing that relevant post into groups that coincide with that content. Pages are also a great thing to “look up” and expand your referral network with. Most LO’s spend too much time focusing on just RE agents when they could be getting leads from different types of partners. Use FB pages to search those in your area that could be a good fit for you to network with. As an added “bonus” make sure you are gaining testimonials and looking at testimonials other pages have. It helps to give them too. 🙂
Social selling is an art, and there’s a way to “reverse” sell to those you connect with. You just need to nurture this practice with your prospects more, or referral partners in order to gain exposure. Comment on enough things, like enough of their posts, be omni present in many groups – those people that see and engage along with you on your posts or someone elses are people that have grown to see your “value proposition”. What you can do is leverage this, contact them directly and then the call is warm and not so cold. There is a fine line between being stalker-ish and happen to be showing up. If you do it right, networking on social in groups, pages, and on peoples posts can help you social sell big time. If you engage with someone “new” on purpose over the next week more than 8 times, and then go back and call or PM that person, I can bet you my lunch they will openly have a conversation with you. All because you engaged on social with them for a week. Funny how this works, but if you “show up” more than half a dozen times in someone’s feed, they seem to think they are getting to know you. Use this technique to grow relationships. Besides #SocialSelling is fun when you do it right. 🙂
#TwoforTuesday – Some great things are coming with DU updates in the next week it looks like. As Fannie Mae updates the DU programming on March 17th they will be helping DTI’s in the 45-50% across several FICO buckets become more “approve-able”.
Seems FNMA and the programmers understand the behaviors of those getting loans. And there will be more programming to prevent someone with multiple “apps” out there to rig the system. You won’t be able to get an appraisal at one lender and a PIW with another. If the appraisal is registered inside the fannie system, DU will kick out the PIW from the approval it looks like.
Some great updates that actually make sense, there was a couple more and I will recap those as more information becomes available.
Today’s SWWEEEEEETTTT Spot! 600-680 Fico FHA/VA loan is on point. Also 680+ FICO with 80% LTV or more on the homeready program is also stellar pricing right now! Here’s an open link, you want to “compare” me, go right ahead, price your deal out and let me know how I stand —-> Quick Pricer
#TwoforTuesday – Some great conversations happening out there recently and wanted to highlight some conversations recently about LO comp and Borrower paid transactions. Assuming you are a LO at a Broker shop, whom does TPO business, you still have to have a set compensation agreement for all loans. The Broker is allowed to incentivize you based on volume, however, for the most part you are to be paid the same amount on all deals. Borrower paid or Lender paid!
Now I am not a lawyer by any means, I just make sense out of these laws and attempt to spread the word. As an AE, no LO should be in a position where they “send” loans to any one lender to be brokered and be paid “more” for doing so. The LO should be picking the best lender for the given loan and borrowers situation. AND that doesn’t mean the lowest rate or highest spread. There’s customer service, there’s turn times, there’s a handful of other things that could be taken into consideration. Rate doesn’t dictate the “best option” for your client. Period.
Second point today, Borrower paid transactions. If you are a LO, and you have a set comp plan with a Broker, and decide to go borrower paid, you should still be “making” enough to cover that comp plan. OR the Broker should put a clause in their comp plan to LO’s that states they are not allowed to charge less than the agreed upon comp per deal. That way the “house” never has to pay out of pocket to pay the LO. That’s not good business obviously.
I am expanding and still helping new Broker’s in 2018 to grow their business. I am not a typical AE, what I do is help my broker’s actually source business. So not only do I help with guidelines, scenario’s and pushing your existing loans to the table, I help you learn to source new business. And I do it online, where I teach Broker’s how to expand their referral network, and help their business grow. More leads = More closings. If you’re struggling with business, or just happen to be on a mission to grow this year, I’d like to work with you. CLICK HERE and we can chat! #SellWell
#TwoforTuesday – I love doing these videos on guidelines and hope you all get stuff out of them. Today I highlight the few changes that Fannie Mae introduced on 1/30/2018. It is awesome to see the work that FNMA did in the past in collecting data is coming to fruition. The first announcement and change to lending guidelines comes just in time for tax season. The second in perfect timing as home values have gone up and even the national loan limits have been increased. And as a bonus one of the hardest loans to close for property is updated; Condo’s!!
Today I am updating my CRM and organizing lists to help myself do more timely follow up and email marketing campaigns. There has to be a management of information (just like Fannie) that you have as a sales person too. Now’s the time to organize for the year. Merge your past client lists, update your prospects, take a look at who’s opening your emails, reading your blog, or visiting your website. These are the things that make a difference in sales success, I suggest you do the same. I also bet you find an “app” that comes of the follow up, or because you strike while the iron was hot. (they were on your website yesterday). Use information to help you close the sale, just like Fannie is using the information to close the loans.
I ♥ Sales, Marketing and Mortgages. Not sure which more, but they all go hand in hand in my book 🙂 As a result this week I am helping any LO that wants to develop a fan page on Facebook take their social selling to a new level. Want to #LevelUP? Click below, I’ve got the BLUEPRINT waiting: The BLUEPRINT to SOCIAL SELLING is HERE! #SocialSellingwithShawn – #SellWell
#TwoforTuesday – This one is almost a year old as well. I ♥ guidelines. Funny a year later here we are accepting Bitcoin as a form of payment as well. This is back when verbal VOE’s were updated at the beginning of last year. Even a bonus guideline in this episode.
Look I do these for fun, to make our roles in the mortgage industry less stressful and to pass on best practices and helpful guidelines that you can use. What I do for a passion is help other people close more loans. I do this many ways, but it all comes back to my support staff. The team I have behind me. No matter what I do, I try to align myself with the best teams that can make an impact to your files. Second, I learn, invest, and master marketing campaigns that are successful to help you increase your business. And I have a 3 day workshop that can turn the way you view social selling completely around.
The Blueprint – Ultimate Facebook Fan page Marketing campaign guide. A three day workshop that will increase your reach, relevancy and results.
#TwoforTuesday – It’s tax time! As of yesterday, and “not” the time to call a CPA. However, what it is a good idea to do is educate your clients on how the way they itemize certain things can hinder their ability to borrow. Two things we will go over today to help you in sales, 2106 expenses and self employed filings. A CPA does their job well, sometimes too well. They lower the clients overall tax implications, but as a result they are affecting what the client will qualify for.
If you’re self employed, or your clients are, knowing certain line items is a good idea on taxes. Educate your clients so they can plan accordingly. If they are thinking they will do a new home loan within the next 2 years, it may be a good idea to skip writing off all the “meals and entertainment”. Same with those that are W2’d, itemizing deductions on line 21 of the 1040 will affect their “income qualification calculation”.
Knowing these little tid bits can make you seem like the expert. They are also good conversation starters after a first touch, during a follow up. Make yourself the NEWEST EDITION to your clients “financial team” by helping bridge the gap sometimes. When you do this and present to be the newest member, whom is a lender for life, your objections to “price” go away. Add value in building a custom tailored solution for your clients and you will be referred more. This education is a way to do it.
This week I am looking to partner with more Brokers in the East Coast. If you know a great mortgage broker in NC/SC/GA/NJ/PA/VA/MD please let them know about me. Fill in below! ↓